Tesla’s $25,000 EV Prototype Reportedly Completed, Claims Leaker

Photo: u/partialedecelerator on Reddit

Following Tesla’s denial of rumors that it was working on a compact $25,000 “Model 2” unit, a new source has come forward and is saying that the company is working on the evasive unit.

Tesla has allegedly completed a prototype of the rumored compact electric model, and supposedly has suppliers already in place with trial production set for the end of 2021, according to a source familiar with the matter (via @Ray4Tesla).

While it still isn’t clear what Tesla would call the compact electric vehicle (EV), fans and onlookers of the rumor have dubbed the EV Model 2 or Model Q, among other unofficial names. It also isn’t clear if the given prototype would represent a $25,000 EV, like many have rumored.

CEO Elon Musk has said the past a smaller Tesla compact would be designed and produced locally in Germany and China.

A number of artists have come up with renderings of a potential Model 2 concept, including a three-door coupe or a four-door compact crossover.

Last month, Tesla supplier CATL unveiled a more affordable sodium-ion EV battery, with the addition of an integrated sodium-ion and lithium-ion build, which would combine the strengths of each cell type.

The news also comes amidst increasing local competition in China from local EV automakers like NIO, Xpeng and Li Auto, each of which selling record numbers of EVs in July.